If I was to hire a financial planner, I'd expect him/her to be fee only, w/ no products to sell, only services.I'd expect competent advice in the following areas:- investment diversification targets based on my age and investment objectives- tax avoidance strategies- asset protection via proper legal entities- never to hear the words "mutual fund"- how to optimize retirement plans to balance liquidity requirements vs. tax savingsd

Also, maybe you can diversify, and have some rentals, do some flips and do some HML but here's one final quote taken from Grant Cardone (he owns 350 millions worth of real estate....and a private jet ah ah ah) ''I don't believe in diversification.

I think that RE is frothy enough, at least in the big apartment space I am interested in, that diversification in other asset classes is a good idea now.

Having geographical diversification is another benefit.  

@Jon KlausThe other point to remember is that with an index fund, you're getting alot of diversification; either S&P 500 or even a total market one, and you buy a major cross section of businesses across sectors, that represent the overall health of the economy.With RE, even 10 SFH, it lacks that level of diversification.This can be both good (i.e lets say you bought 10 SFH a few years back in San Francisco; you've got HUGE appreciation and laughing all the way to the bank!)

your midwest properties will most likely not appreciate as much as the one's you had in San Diego.the midwest is about yield.. the coasts are about capital appreciation.personally I would keep a few of the San Diego properties for diversification..or try to find properties that you feel will appreciate the most (SFH perhaps) in the area via 1031.  

I don't think mutual funds are in any way comparable because that implies diversification across many deals. 

Also from a diversification stand point it was time for me to gain some exposure to other economies.

I just want a small part of it for portfolio diversification.  

So its a tight knit group and I think it offers some diversification... you still need to do YOUR DUE DILIGENCE though.. remember these are asset based loans make sure you like the asset.